Business formation and structure
The most expensive tax decisions a business makes usually happen before it earns anything — and they are far cheaper to get right than to unwind.
You are in the right place if…
Starting something new
Choosing between sole proprietor, LLC and corporation.
Outgrowing your current structure
Profit has reached the level where the structure matters.
Adding partners or investors
Ownership, allocations and what happens if someone leaves.
Everything in the fee
- Entity selection analysisAdvisory
- LLC and corporation formationState
- EIN applicationSS-4
- S-Corp election2553
- Operating agreement guidanceAdvisory
- Registered agent setupState
- Multi-state registrationState
- First-year compliance calendarAdvisory
Entity choice is a tax decision first
An LLC is a legal structure; how it is taxed is a separate election. A single-member LLC is taxed as a sole proprietorship by default, a multi-member LLC as a partnership, and either can elect corporate or S-Corp treatment. The legal form and the tax treatment are frequently confused, and the confusion costs money.
When the S-Corp election starts paying
Electing S-Corp treatment can reduce self-employment tax once profit is consistently above a certain level — but it brings payroll obligations, a reasonable-salary requirement and a separate return. Below that level, the compliance cost exceeds the saving. There is a threshold, it depends on your numbers, and we will show you where you sit rather than giving you the answer we give everyone.
The state you form in
Forming in a state you do not operate in usually means registering as a foreign entity where you actually are, and paying in both. For most small businesses the right answer is the state they are in. The exceptions are real but narrower than the internet suggests.
What we do, and what needs a lawyer
We advise on the tax consequences of entity choice, prepare and file the elections the IRS requires (Form SS-4 for an EIN, Form 2553 for S-Corp treatment), and handle the returns and payroll that follow. We are not a law firm. Drafting an operating agreement, a partnership agreement or a buy-sell provision is legal work, and so is advice on liability protection, ownership disputes or securities questions when you take on investors. Where you need those, we will say so and work alongside your attorney rather than around them.